The authors argue that two complementary elements of policy formulation have become dislocated: The actual changes occurring in the organisation of industry, and changes in the mode of policy production. This dislocation presents a variety of possibilities for new modes of policy production. The significance of the whole process of the production of industrial policy is stressed: the selection of the object of policy, the institutions of policy formation and delivery, and the organisation of work and the distribution of skills within such institutions. The nature of the innovative and creative institutional responses that will be required to avoid further industrial decline are discussed.
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